OpenAI has secured only about $11 billion in commitments for its latest funding round — less than half of the $30 billion it set out to raise — and has cut its target to $20 billion at a $1.25 trillion valuation, the Wall Street Journal reports. Why it matters: the best-known name in AI is running into newly cautious investors just as it prepares to go public.
October 31, 2026
What happened
After tepid interest from some large investors, OpenAI has so far secured roughly $11 billion in commitments, according to people familiar with the matter cited by the Wall Street Journal. The deal values OpenAI at $1.25 trillion — below the $1.4 trillion it had earlier hoped to achieve. The Financial Times first reported the target cut; Reuters reported the company is now seeking $20 billion, down $10 billion from the original plan.
The details
OpenAI told shareholders it expects to try to raise more in the coming weeks, targeting family offices and high net-worth individuals, the Journal’s sources said, with one person saying it now hopes to raise up to $20 billion in total. The shortfall lands amid a brutal tech selloff tied to disappointing earnings from Google, Amazon and Intel, which has made investors pickier about funding the AI boom. OpenAI did not immediately respond to a request for comment, Reuters reported.
The Anthropic contrast
The timing is awkward: rival Anthropic filed its public-listing paperwork this week, ahead of an expected mid-November debut, and the Journal reports Anthropic more than doubled revenue to $11.6 billion from the first to the second quarter while OpenAI’s grew roughly 18% to $6.7 billion. Anthropic also posted a small operating profit in the second quarter as OpenAI’s losses deepened, though third-party data shows OpenAI recently regaining some market share after price cuts.
Why it matters
This is the first hard evidence that the AI funding boom has a price ceiling — even for OpenAI. A $1.25 trillion valuation is still enormous, but a missed target and a $150 billion valuation cut signal that big investors now want revenue and profits to catch up with spending before writing the next check. That discipline shapes which AI tools get funded and how fast new models ship — everything AI, tested against what the market will actually pay.
Frequently asked questions
How much has OpenAI raised in its latest round?
About $11 billion in commitments so far, per the Wall Street Journal — less than half of the original $30 billion target. The new target is $20 billion at a $1.25 trillion valuation.
Why did investors hold back?
Reporting points to jitters over the AI trade after disappointing big-tech earnings, with investors growing pickier about which companies they back and on what terms.
Is OpenAI still planning to go public?
Yes — the Journal reports it is preparing to go public as soon as early next year; Anthropic’s listing is expected in mid-November.
Sources: Wall Street Journal, Financial Times via Reuters